The global energy ESO market size was valued at USD 322.9 million in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 19.3% from 2023 to 2030.Growing digitization in the energy sector will positively impact market growth over the forecast period. Over time, several Engineering Service Providers (ESPs) have introduced new technologies for smart grid management, plant digitization, embedded product engineering, and virtual prototyping. These technologies are expected to drive digital transformation in the energy sector, thereby increasing the potential of energy ESPs on a global scale. Furthermore, OEMs may drastically reduce labor costs, along with other investment costs, by outsourcing services to engineering service providers.

Asia Pacific accounted for over 38% of the market share in 2022 and was the leading energy ESO market across the globe. The huge presence of skilled and talented engineers and the favorable government regulations has fostered the growth of the Asia Pacific energy ESO market. The availability of cheap labor is the major factor behind the market growth. Moreover, the rising investments in the green and clean energy are expected to further augment the market growth in the forthcoming years.

North America is estimated to witness the fastest-growth rate during the forecast period. The rising government and corporate investments towards the adoption of the renewable energy sources is significantly driving the market growth in North America. As per the data released by the US Energy Information Administration, the electricity generation using the renewable sources has increased to 20% in 2020 from 17% in 2019. The higher adoption rate of the sustainable and advanced technologies in the region is expected to drive the growth of the North America energy ESO market during the forecast period.